Senate reconciliation bill, no specific exempt organization items
Draft bill has no provisions specifically focused on charities or charitable giving.
No specific exempt organization items in the Senate reconciliation bill
An agreement for a Senate reconciliation bill, announced earlier this week, does not include provisions specifically focused on charities or charitable giving.
Read legislative text and a summary of the proposed bill.
The agreement announced this week between Senate Majority Leader Chuck Schumer (D-NY) and Senator Joe Manchin (D-WV), reflects tax, climate change, energy, and health care provisions that would be included in the Inflation Reduction Act of 2022. Read TaxNewsFlash. The agreement would impose a new 15% book minimum tax on corporations with average annual adjusted financial statement income of more than $1 billion. For tax-exempt corporations, only unrelated business income would be taken into account for purposes of the $1 billion threshold.
KPMG observation
The House of Representatives passed the “Build Back Better Act” in November 2021—a bill that included provisions that would directly affect tax-exempt organizations. Read TaxNewsFlash. The version of the Senate reconciliation bill announced this week does not include those exempt organization proposals.
For more information, contact a tax professional with KPMG’s Washington National Tax practice:
Ruth Madrigal | ruthmadrigal@kpmg.com
Preston Quesenberry | pquesenberry@kpmg.com
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